Joe Ajaero, the President of the Nigeria Labour Congress, NLC, on Monday said the amount being demanded as the new minimum wage may be raised to N1 million per month if the economic situation in the country continues.
Ajaero who spoke on the Arise TV breakfast programme said with the continuous rise in the rate of inflation and devaluation of the naira, NLC may not have a choice, bot to continue to also jack up the amount being demanded as the new minimum wage.
“This N1 million may be relevant if the value of the Naira continues to depreciate; if the inflation continues to depreciate. The demand of Labour is equally dependent on what is happening in the society.
“You will remember that by the time we were contemplating N200,000, the exchange rate was about N900. As we talk today, the exchange rate is about N1,400 or even more.
“Those are the issues that determine the demand and it is equally affecting the cost of living and we have always said it that our demand will be based on the cost of living index.
“You’ll agree with me that a bag of rice is about N60,000 to N70,000. Foodstuff is getting out of reach. Now, are we going to get a minimum wage that will not be enough for transportation even for one week?
“We have to factor in all these issues. And that will determine the federal government’s commitment to these negotiations,” Ajaero said.
The present minimum wage was N30,000 was introduced about five years ago.
Vice President Kashim Shettima had on behalf of President Bola Tinubu on 30 January 2024 inaugurated a 37-man Tripartite Committee on National Minimum Wage with a mandate to recommend a new wage for the country.
Shettima while inaugurating the committee noted that the labour force stands as the cornerstone of the progress of every nation, and welcomed the nominees of the committee comprising government employers and the labour unions.
He said the need to review the minimum wage was one of the recommendations made to the government to cushion the painful effect removal of the minimum wage.